

By OBAKENG MAJE
29 November 2024- The North West Department of Human Settlements has allegedly approached the Development Bank of Southern Africa (DBSA), to secure a R74.3 billion loan to fund a mega city project. The mega city project is expected to be constructed through the government’s entity, North West Housing Corporation (NWHC).
However, the Democratic Alliance (DA) in North West said the proposed R74.3 billion mega city project has been politicised to respond exclusively to the failures of successive ANC-led provincial governments.
DA North West spokesperson on Cooperative Governance, Human Settlements and Traditional Affairs, Chris Steyl said they have received responses from the NWHC on questions posed during a meeting of the Portfolio Committee on Cooperative Governance, Human Settlements and Traditional Affairs (COGHSTA) held on 12 November 2024, in which they raised serious concerns with the proposal to secure a R74.3 billion loan from the DBSA to fund a mega city project.
Steyl said the NWHC does not have the mandate to build mega and/or smart cities and is largely responsible to address homelessness and develop social housing assistance within the province.
“However, NWHC CEO, Sello Mogodiri, indicated that President Cyril Ramaphosa announced the government’s position to build mega cities in his 2019 State of the Nation Address. This position was then supported by former COGHSTA, MEC Mmoloki Cwaile in 2021.
“This was followed by several pronouncements since by the former North West Premier, Bushy Maape, former acting Premier, Nono Maloyi, current Premier, Lazarus Mokgosi and the current COGHSTA MEC, Gaoage Molapisi, without any objections,” he said.
Steyl further said ‘this is a lie’ since the DA is on record in the North West Provincial Legislature raising their objections against this vanity project. He added that, but more concerning than Mogodiri’s attempt to justify a mandate to build a mega city on political pronouncements rather than the NWHC Act, shows that the entity is being abused to drive a blatant ANC political agenda.
“Mogodiri indicated in his response that the entity’s former namesake, the Bophuthatswana Housing Corporation, built the townships of Tlhabane, Selosesha, Mothotlung and Pudumong, but since the dawn of democracy, successive provincial governments have failed to build a single mega city and that the “status quo cannot continue.
“He further goes on to say that the housing service delivery problem is being used to deliberately de-campaign the current government. This response confirms the politicisation of this project,” said Steyl.
He said as they have seen with mega projects like Kusile and Medupi, these projects are fraught with corruption and abused to funnel billions of rands to line the pockets of ANC cadres. Steyl said the R74 billion DBSA loan is set to follow the same path should they fail to put a stop to this project and redirect government’s priorities to sensible programmes that address the immediate needs of residents.
“Before any attempt can be made to establish a new city in the North West, this government must first address the current 300 000-unit housing backlog.
“In any case, a mega city is typically a city with a population of more than 10 million residents, according to the United Nations Department of Economic and Social Affairs (UN DESA) definition, which is 6 million people more than the population of the North West,” he said.
Meanwhile, the NWHC CEO, Sello Mogodiri said: “The NWHC is leading the way in smart and mega cities development. The corporation is proud to be at the forefront of implementing the smart and mega cities initiative in the North West. With 11 mixed human settlements underway, including a 10,000-bed student accommodation, NWHC is committed to transforming urban spaces.
“These developments are designed to provide sustainable, affordable, and modern housing solutions, catering to diverse needs while promoting economic growth and community well-being.”